Ann: September 2020 Quarterly Update, page-2

HIGHLIGHTS

Increases in all sales related KPI’s across the business for the quarter ended 30 September 2020:

• $750K revenue recognized during the quarter out of the $1.25M received in June 2020 in relation to the second quarterly license milestone as per the government funded licenses grant.
• 795 Residential Aged Care (RAC) Facilities and 66,887 approved beds are under annual PainChek® license as at 30 September 2020, representing a 10% and 9% increase respectively over the previous quarter and 397% and 457% growth over the previous year.
• Total beds under license as at 30 September 2020 equates to $2.79M in normalized contracted Annualized Recurring Revenue (ARR) in Year 2 of the client contracts (post government funded licenses)representing 323% growth over previous year.
• There have now been more than 190,000 clinical pain assessments conducted by clients, a 41% growth in the quarter and 241% growth over the previous year, demonstrating the App’s strong clinical utility and uptake in the residential aged care market.
• Three pilots in the $2 Billion Australian Home Care market now underway with leading Australian Home Care providers to support the increasing demand for home care service and packages.
• New Hospital research commercial agreement in place with Ramsey Hospital Research and Cowan University for frail patient pain management.
• New Disability commercial agreement with Nulsen Group, opening access to the large NDIS market.
• Canada regulatory clearance pending and commercial partnership now in place with AlayaCare, the leading Home Care software care management system provider in Canada.
• Positive progress in revised Children’s App clinical study – targeting 2021 TGA and CE Mark clearance.
• Pre-submission supplement application with FDA completed.
• The Company raised $10M in August 2020 via a private placement with professional and sophisticated investors at $0.11 per share. The funds will be used to accelerate international growth opportunities and to develop new products.
• As a result of the capital raising, PainChek’s consolidated cash balance at 30 September 2020 increasedto $13.8M